LAMESA, TX (KCBD) - New details in the case of a Lamesa man currently under investigation by the Securities and Exchange Commission. Rod Stringer, 46 now faces criminal charges of money laundering.
NewsChannel 11 first broke this story back in January. That's when the SEC filed their complaint. Investigators say he ran a fraudulent hedge fund and misappropriated millions of dollars from investors.
Late Monday, the U.S. Attorney's Office filed felony charges of money laundering against Stringer. Their report states Stringer schemed to defraud investors out of nearly $14 million. Federal authorities say he ran a Ponzi Scheme, paying off investors with other investor's money.
The SEC already authorized the auction of some of Stringer's assets in an effort to repay those investors. If convicted for felony money laundering, authorities say Stringer will forfeit more than $1.5 million from several accounts, including bank accounts in Lamesa and Big Spring.
Until now, Stringer had only been civilly cited. This is the first criminal charge in this case. We'll keep you updated on the latest developments.
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